The market impact of high-frequency trading systems and potential regulation. Issue 1 (2nd January 2017)

• Record Type: Journal Article
• Authors: Klaus, Tim; Elzweig, Brian
• Is Part Of: Law and financial markets review. Volume 11:Issue 1(2017)
• Page Start: 13
• Page End: 19
• Publication Date: 2017-01-02
• Subjects: Finance -- Law and legislation -- Periodicals; Finance -- Periodicals; 346.0905
• DOI: 10.1080/17521440.2017.1336397
• Languages: English
• ISSNs: 1752-1440

Abstract

Abstract : As transaction costs of trades have decreased, there has been a large growth of high-frequency trading in markets around the world. Although there are benefits that high-frequency trading brings to both the market and individual companies, there are negative and controversial aspects as well. This paper addresses high-fequency trading strategies, systems, and controversies, and then analyzes current and potential laws and regulations and their impacts on the marketplace.